Great Wall Motor Co.'s vehicle sales rose 3 percent year on year to 83,530 in March, but only after steep price cuts to fend off rivals.

 

On March 12, China's largest SUV maker cut the price of its top-selling model, the Haval H6 crossover, by more than 10 percent. That was the third price cut for the model, which now starts at 88,000 yuan ($13,538).

 

Following the price reduction, H6 sales surged nearly 47 percent to 46,075 vehicles in March compared to the same period a year ago.

 

But demand for Great Wall's other crossovers and SUVs all declined. As a result, total sales of the company's SUVs and crossovers rose only 6.2 percent to 68,175 vehicles last month.

 

By contrast, overall sales of SUVs and crossovers in China jumped nearly 46 percent to 693,100 vehicles as Great Wall's rivals expanded their model lineups.

 

While Great Wall used price cuts to defend its share of the SUV market, deliveries of its pickups and sedans continued to shrink. In March, Great Wall's pickup sales dipped 2.1 percent to 10,624 vehicles, while sedan deliveries slumped 20 percent to 4,731 vehicles.

 

Through March, Great Wall's vehicle sales rose 5.7 percent to 233,426 vehicles from a year earlier.